32-7B-17. Grounds for denial of license or application of provisions of §§ 32-7B-17.1 to 32-7B-17.6, inclusive. The department may deny any application or apply the provisions of §§ 32-7B-17.1 to 32-7B-17.6, inclusive, on any license issued under the provisions of this chapter, for any of the following:

(1) Commission of fraud of willful misrepresentation in the application for or in obtaining a license;

(2) Conviction of a felony involving the theft of boats or other motor vehicles in the last five years;

(3) A violation of any law of this state that relates to dealing in boats;

(4) Failure to comply with any administrative rule promulgated by the department;

(5) Perpetration of a fraud upon any person as a result of dealing in boats;

(6) Failure to apply for transfers of title as required in chapters 32-3 and 42-8;

(7) Failure to allow department inspections, including initial and annual inspections, complaint investigations and necessary follow-up inspections;

(8) Misrepresentation through false, deceptive, or misleading statements with regard to the sale or financing of boats which a dealer has, or causes to have, advertised, printed, displayed, published, distributed, broadcasted, televised, or made in any manner with regard to the sale or financing of boats;

(9) Refusal to comply with a licensee's responsibility under the terms of a boat warranty issued by its respective manufacturer, unless such refusal is at the direction of the manufacturer;

(10) Failure to comply with the terms of any bona fide written, executed agreement pursuant to the sale of a boat;

(11) Inability to obtain or renew surety bond; or

(12) Failure to maintain a principal place of business.Source: SL 1998, ch 185, § 17; SL 2005, ch 162, § 37.